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- In the functional structure, functions are all separate, resulting in employees having very little understanding or concern for any area outside of their own functional area. This does not allow for an overall prospective of the company and the company's future. - This separation leads several barriers in communication and overall cooperation and coordination. - Individual focus rather than a company focus - No structure in the way things are run as a company, processes are all separate in each functional area - The functional specialization does not allow managers in that area to have a broad perspective on the company or other specific areas.

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